Alphabet's Google to Offer AI Tools to Federal Agencies at Near-Zero Cost Under Gemini for Government Partnership.

Alphabet's Google is partnering with the General Services Administration to offer its Gemini AI tools to US federal agencies at ultra-low cost. The partnership aims to accelerate technology adoption across the government. AI tools include video, image, and idea generation, as well as digital "agents" that can perform complex tasks. Federal agencies will pay less than a dollar for the AI tools. The partnership supports President Trump's AI Action Plan.

Alphabet's Google has partnered with the General Services Administration (GSA) to offer its Gemini AI tools to US federal agencies at an unprecedentedly low cost. The agreement, announced on August 21, 2025, aims to accelerate technology adoption across the government. Federal agencies will pay just $0.47 per agency for access to Google's AI tools, including video and image generation, idea generation, and digital "agents" capable of performing complex tasks [1].

The partnership supports President Trump's AI Action Plan, which emphasizes rapid AI adoption across agencies using commercial, cost-effective solutions. The deal builds on Google's earlier agreement to provide Google Workspace to all federal agencies at a 71% discount, further expanding the GSA's partnership with Google [2].

Google's Gemini for Government platform includes advanced tools such as NotebookLM, a research assistant that synthesizes documents and generates insights, and Veo, Google's advanced video and image generation tool. Agencies can also access pre-built AI agents for deep research, idea generation, and workflow automation, as well as the ability to create their own AI agents tailored to departmental needs [1].

The ultra-low cost of the Gemini AI tools positions Google as a dominant force in public sector AI while providing the U.S. government with unprecedented access to cutting-edge tools at minimal cost. The agreement is valid through 2026 and covers all federal agencies, marking a significant milestone in the partnership between Google and the GSA [2].

This move could have significant implications for the public sector, accelerating modernization across federal departments and setting a precedent for state and local governments. It also puts competitive pressure on other AI providers, such as Microsoft and Amazon, to revise their government strategies [1].

References
[1] https://www.patentlyapple.com/2025/08/google-introduced-gemini-for-government-last-week-that-supports-the-us-governments-transformation-with-ai.html
[2] https://www.gsa.gov/about-us/newsroom/news-releases/gsa-google-announce-gemini-onegov-agreement-08212025
[3] https://www.executivegov.com/articles/gsa-google-onegov-gemini-government-ai